As the cannabis industry continues to grow and evolve, so too does its need for stronger policies and regulations to ensure its economic success for operators. In this Quarterly Policy Update, we’ll be sharing the key areas of cannabis policy that Nabis is focusing on in both California and New York legal cannabis markets.
California Policy Updates
We’re deeply grateful for the efforts of the newly elected CCIA Leadership Team and Board of Directors, including Nabis’ own Policy Director, Eddie Franco, as they will continue to advocate for better policies and protections for businesses and entrepreneurs here in our home state. Coupled with the CCIA’s efforts, Nabis continues to remain steadfastly involved in making better credit solutions more widely available, assessing METRC reform, and improving access for social equity licenses.
Addressing Credit Protection
Nabis strongly supports the Cannabis Credit Protection Act (AB 766), which was introduced by Assembly Member, Phil Ting. The bill aims to stabilize our supply chain and provide credit protection for legal cannabis businesses by establishing oversight around terms of sale between licensees. Specifically, this bill mirrors “credit laws” in other consumer industries by establishing maximum terms by which cannabis licensees can sell goods and services on credit. Recent news has underscored the need for stronger credit solutions in the cannabis space, particularly while the industry continues to be primarily cash-based.
Major improvements must be made to the state’s track-and-trace system, METRC, for the industry to work for operators and regulators alike. Nabis is relying on its team’s deep engineering and technical knowledge and years of experience as one of the largest single users of METRC in the nation, to assist regulators with improving issues related to the software. These improvements are essential for ensuring the safety and transparency of the cannabis supply chain.
Supporting Social Equity
Nabis stands in solidarity with the social equity community and supports greater state support for underprivileged and marginalized cannabis entrepreneurs. Bills like SB 51 by Senator Bradford, which aim to bring needed licensing relief for social equity operators, are crucial for ensuring a more equitable and inclusive cannabis industry. Nabis believes that social equity should be a cornerstone of any cannabis policy reform, and will continue to advocate for greater support for these communities.
New York Policy Updates
With its first legal dispensary officially opening in December 2022, New York is starting to ramp up legal sales which should hopefully reverberate to other crucial areas of the supply chain. In the meantime, Nabis has been working with NY state legislators over the last year in order to share experiences related to growing our logistics solution from the ground up. Here are a few other ways Nabis has been helping pave the way for policy change in this newer market.
In February 2023, Nabis submitted a public comment to New York’s Office of Cannabis Management (OCM) in response to their first draft of permanent, adult-use regulations. Specifically, Nabis applauded the OCM for their focus on ensuring New York’s emerging market is economically competitive, and their emphasis on ensuring social equity applicants are given top priority when reviewing applications. Additionally, Nabis suggested further improvements to areas of the draft regulations, drawing on years of experience operating in California’s difficult regulatory environment. Among other comments, Nabis highlighted areas in which the OCM can reduce operating costs for businesses, eliminate waste generated in the supply chain, and streamline administrative review in order to issue licenses in a timely manner.
CANY Lobby Day
Nabis is also a member of the Cannabis Association of New York (CANY) and its leadership team attended the association’s annual Lobby Day in Albany in late March. Nabis met with key leaders in New York to support a stable and timely rollout of initial adult-use licenses and push back on onerous policies such as the state’s current potency-based tax. Nabis believes that a fair and equitable cannabis industry is essential for the success of businesses and entrepreneurs in New York and will continue to advocate for policies that support this goal.
On The Revel Sponsorships
On The Revel aims to be stewards of creating cannabis-centric content and experiences for the legacy communities on which the NY market was built upon. While cannabis legalization provides numerous economic opportunities for operators, On The Revel wants to ensure that they open up the industry with intention and have the right voices represented. In August 2022, Nabis had the opportunity to participate as a sponsor for their end-of-summer Revelry Block Party, a celebration of the plant and networking event for entrepreneurs, legacy operators, community leaders, advocates, government officials and other industry professionals.
The Cannabis Collective
The Cannabis Collective started in New York City with the goal of providing support for professionals in the cannabis industry. It’s been instrumental in assisting state by state legalization and has officially surpassed 10,000 executive members, making it the largest and most impactful global leadership group in the cannabis industry. Vince Ning, CEO and Co-founder of Nabis, has joined The Collective as a Founding Member in order to help advance the organization’s mission and provide members with opportunities that actively shape and make meaningful contributions to the industry.
Outside of our invested interest in the California and New York markets, Nabis is also a proud member and supporter of the Cannabis Media Council, the first trade organization dedicated to using the power of mainstream media to uplift wholehearted, people-centered advertising campaigns that show positive experiences with cannabis. The Cannabis Media Council seeks to build a large coalition of brands, retailers, and ancillary service providers that all share the common goal to grow the addressable market of curious and confident consumers. In collaboration with Nabis, PAX, Etain Health and more visionary donors, the Cannabis Media Council has recently launched their inaugural ad campaign I'm High Right Now which addresses the baby boomer consumer demographic with playful messages to encourage open conversations about cannabis consumption.
Nabis remains committed to advocating for stronger policies and protections for the cannabis industry, particularly in California and New York at this present moment. As these two markets continue to adapt and expand, Nabis plans to use its voice and experiences to help lead conversations around comprehensive reform that may serve as a representative for the industry broadly.